Are we approaching housing bubble territory?

Question: Are we approaching housing bubble territory?

Bob Rauch, R.A. Rauch & Associates

NO: A housing bubble is when housing prices, fueled by demand (any home buyer would be increasing demand by one house), speculation, and market exuberance, “run up.” At that time, speculators enter the market and increase demand for housing. If we believe that demand will decrease or stagnate, or if lots of new housing supply is built, then there could be a sharp drop in prices.